No Blank Checks Initiative Raises Many Questions

California's long history of passing laws at the ballot box is rife with unintended consequences. The No Blank Checks initiative slated to go before voters in the November general election is consistent with that trend. Read more

New feature in April: Head to Head on Pension Reform

In one corner, the executive director of the California School Employees Association; in the other corner, the former mayor of the city of San Jose. Dave Low and Chuck Reed go Head to Head on the issue of public pension reform in Intersection's new section. Read more

WHAT DOES IT COST FOR
CALIFORNIA TO BORROW?

2.6%

Representative
yield for 20-year,
AAA-rated general
obligation
bonds, according
to a major
national market
benchmark.
(as of 3/22/16)

2.8%

Representative
yield for 20-year,
CA general obligation
bonds,
according to a
major CA market
benchmark.
(as of 3/22/16)

3.0%

Representative
yield for 20-year,
CA general obligation
bonds,
according to a
major CA market
benchmark.
(as of 3/23/15)

For every $1 billion in bonds issued, CA will pay $18.7
million more in debt service over a 20-year period than a AAA-rated borrower.

All indicators reflect yields-to-call on bonds with 5% coupons and
10-year call options. Source: Municipal Market Data, licensed and
used with permission.